Cascading of taxes as well as leakage of tax credits through the supply chain adds to the cost of manufacturing.
The manufacturing sector is currently saddled with myriad indirect taxes like central excise, service tax, value added tax (VAT) and central sales tax (CST), with multiple taxable events and compliances under the indirect tax regime. Click to read more
As the eagerly and anxiously awaited Goods and Services Tax (GST) Bill, 2016 sailed through the Rajya Sabha with two-thirds majority in which 203 members voted in favour of the landmark Bill, India’s tax regime is set for a massive transformation. GST Bill is the most radical tax reforms since independence and it is set to position the Indian tax system at par with some of the prominent tax systems in the world. Now, the largest democracy in the world will have a “one-nation-one-tax” system that is expected to permit tax set off across the value chain, while eliminating the difference between goods and services. Click to read more
Manufacturing has emerged as one of the high growth sectors in India. Prime Minister, Narendra Modi, had launched the ‘Make in India’ program to place India on the world map as a manufacturing hub and give global recognition to the Indian economy.
India’s ranking among the world’s 10 largest manufacturing countries has improved by three places to sixth position in 2015.
The Government of India has set an ambitious target of increasing the contribution of manufacturing output to 25 per cent of Gross Domestic Product (GDP) by 2025, from 16 per cent currently. Click to read more
GST also known as the Goods and Services Tax is defined as the giant indirect tax structure designed to support and enhance the economic growth of a country. More than 150 countries have implemented GST so far. However, the idea of GST in India was mooted by Vajpayee government in 2000 and the constitutional amendment for the same was passed by the Loksabha on 6th May 2015 but is yet to be ratified by the Rajyasabha. However, there is a huge hue and cry against its implementation. It would be interesting to understand why this proposed GST regime may hamper the growth and development of the country. Click to read more
While analysts and industry captains are not ruling out initial hiccups while moving towards the ‘One nation, one market’ concept under the Goods and Services Tax (GST) regime, Indian industry is set to benefit from the new tax system in a big way over the years.
India Inc. is expecting efficient allocation of resources, fewer supply disruptions, a check on inflation, tax buoyancy and improvement in compliance, leading to an increase of up to two percentage points in the economic growth a year after GST is operational. Click to read more
Now that the Rajya Sabha has passed the Goods and Services Tax (GST) Constitutional Amendment Bill, which the Lok Sabha had already approved last year, all attention will shift to the impact of GST on India and how the GST rate would be applied at the central and state levels with regard to the prices of various goods and services.
According to tax experts, under the GST regime (expected from April 1, 2017), consumers goods, small and mini cars, bikes, residential apartments, cinema tickets, cable and DTH bills among others may become cheaper. But more on it in a bit. Here is what happened on August 3 with the much-debated GST Bill. Click to read more
The Rajya Sabha finally passed the controversial goods and services tax (GST) law late on Wednesday, paving the way for a new tax regime in the country.
While it is difficult to quantify the impact on various sectors until the government announces the final GST rate, here is what the industry leaders predict. Click to read more
The manufacturing sector in India is a major economic driver. Today, Indian manufacturing companies have attracted the global spotlight and are transforming into significant global competitors. A glimpse of the history, India’s manufacturing sector has fulfilled momentous milestones, from initial industrialization and the license raj to liberalization and the current phase of global competitiveness. Click to read more
The biggest taxation reform in the nation that came in form of Goods and Service Tax (GST) after it was approved by Parliament on Monday could be a game changer for the state’s industry especially making life much easier for the manufacturing units. Click to read more
While wholeheartedly hailing the passage of the GST Bill in the Rajya Sabha, the trade and industry in Visakhapatnam feels that the bill, to be rolled out from April, 2017, has some more hurdles to pass through.
The investors, by and large, feel the GST will expedite reforms and give a fillip to the manufacturing sector. It is also expected to give a shot in the arm to ‘Make in India’ campaign. Click to read more